This chapter explores the interrelated processes of organizational change and innovation. It begins by presenting key tensions in change: internal vs. external, planned vs. unplanned, and incremental vs. rapid, and introduces foundational models such as Lewin’s force field and three-step model, and Kotter’s eight-step strategic change process. Positive approaches to change, like Appreciative Inquiry, are highlighted for their strengths-based perspective. The chapter discusses why change efforts often meet resistance and introduces the competing commitments model, which frames resistance as psychological tension between old and new behaviors. Innovation is defined as the transformation of new ideas into organizational practices, including disruptive innovations and the role of artificial intelligence. The chapter also covers diffusion of innovation, emphasizing cultural and institutional enablers, and outlines strategies for fostering creativity through individual expertise and supportive work environments. Collectively, the chapter illustrates how organizations can manage change and encourage innovation.